Question

Top Notch, Inc., reported the following selected amounts in its financial statements for the year ended December 31, 2018: (Click the icon to view the financial statements.) Read the requirement. i Data Table a. Collections from customers during 2018 Collections from customers are $ 354,900 Income Statement 2018 2017 b. Payments for inventory during 2018 Payments for inventory are 315,000 159,000 22,400 45,000 20,600 68,000 i Requirement 1. Determine the following for Top Notch, Inc., during 2018, a. Collections from customers b. Payments for inventory c. Payments of other operating expenses d. Acquisitions of property and equipment; no sales were made during 2018 e. Long-term borrowing, assuming Top Notch, Inc., made no payments on long-term liabilities f. Proceeds from issuance of common stock g. Payment of cash dividends Net sales ................ $ 357,000 $ Cost of goods sold ........... 181,000 Depreciation expense ......... 26,700 Other operating expenses ...... 47,900 Income tax expense 23,500 Net income ................ 77,900 Balance Sheet 2018 Cash and cash equivalents .....$ 18,000 $ Accounts receivable 18,100 Inventories 38,000 Property and equipment, net .... 290,000 Accounts payable 16,700 Accrued liabilities .......... 10,100 Long-term liabilities ......... 160,000 Common stock 104,000 Retained earnings ....... 73,300 2017 14,600 16,000 29,000 239,000 15,000 7,000 121,000 83,000 72,600 Print Print Done] Enter any number in the edit fields and then click Check Answer.

Answer 1

a. Collections from Customers b. Payments for Inventory c. Payments of other operating expenses d. Acquisitions of Property and Equipment e. Long-term borrowing f. Proceeds from issuance of common stock g. Payment of cash dividends $ 354,900 $ 188,300 S 44,800 S 51,000 S 39,000 S 21,000 S 77,200 Working Notes: a Collections from Customers Opening balance of Accounts Receivables Add: Sales $ 16,000 $ 357,000 $ 373,000 $ 18,100 $ 354,900 Less" Closing balance of Accounts Receivables b Payments for Inventory Cost of goods Sold add: Opening Balance of Accounts payables Closing Balance of Inventory $ 181,000 $ 15,000 $ 38,000 $ 234,000 $ 16,700 $ 29,000 $ 188,300 Less: Closing balalnce of Accounts Pyables Opening balance of Inventory

c. Payments of other operating expenses Other operating Expenses Opening balance of accured liabilities $ S $ $ $ 47,900 7,000 54,900 10.100 44,800 Closing balance of accured liabilities d. Acquisitions of Property and Equipment Closing balance of Property and equipment Less: opening balance of Property and equipment $ 290,000 $ 239,000 $ 51,000 e. Long-term borrowing Closing balance of Long term liabilities Less: opening balance of Long term liabilities $ 160,000 $ 121,000 $ 39,000 f. Proceeds from issuance of common stock Closing balance of Common stock Less: opening balance of Common stock $ 104,000 $ 83,000 $ 21,000 g. Payment of cash dividends Opening balance of Retained earnings Add: Net Income $ 72,600 $ 77,900 $ 150,500 $ 73,300 $ 77,200 Less: Closing balance of Retained Eranings